Thomas K. Creal IV
Northwest BancsharesAbout Thomas K. Creal IV
Thomas K. Creal IV is Chief Credit Officer at Northwest Bank (NWBI) and has been employed by the company since April 2012. He previously held senior asset management and commercial lending roles at De Lage Landen, GE Capital (Manhattan), and Siemens Financial Services. He holds a degree from Ohio University and is a graduate of the Graduate School of Banking at the University of Wisconsin–Madison . Company-level performance context during recent years shows steady profitability and improving efficiency, with net income of $100.3 million in 2024 and ROAA of 0.70%, alongside cumulative TSR returning $108.85 on a $100 investment by 2024; these firm outcomes frame the environment within which Creal leads credit risk oversight .
Company Performance Context (Investors’ lens)
| Metric | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Net Income ($000s) | 74,854 | 154,323 | 133,666 | 134,957 | 100,278 |
| ROAA (GAAP, %) | 0.58% | 1.08% | 0.94% | 0.95% | 0.70% |
| Value of $100 Investment (TSR) | $82.01 | $96.62 | $101.06 | $96.63 | $108.85 |
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Northwest Bank (NWBI) | Chief Credit Officer | 2012–present | Leads enterprise credit risk; core voice on asset quality and loan classification strategy |
| De Lage Landen (DLL) | Director of Asset Management | Not disclosed | Portfolio oversight and recovery discipline supporting credit outcomes |
| GE Capital (Manhattan) | Commercial Lending roles | Not disclosed | Origination/underwriting in complex credit markets |
| Siemens Financial Services | Commercial Lending roles | Not disclosed | Structured finance experience across industrial segments |
External Roles
No public company directorships or external board roles disclosed for Creal in the latest proxy and 8-K filings .
Fixed Compensation
Not disclosed for Thomas K. Creal IV in the latest DEF 14A; the company’s “named executive officers” (NEOs) compensation is detailed, but Creal is not included among NEOs .
Performance Compensation
Creal’s individual bonus targets and payouts are not disclosed; however, executive officers participate in the company’s Management Bonus Plan (MBP). The MBP uses gating thresholds and weighted financial metrics; 2024 results were adjusted to fund at 100% of target based on overall performance .
2024 Management Bonus Plan – Performance Metrics and Results
| Metric | Weighting | Threshold (50% funded) | Target (100% funded) | Maximum (150% funded) | Actual Adjusted Result | % of Target | Weighted % Payout |
|---|---|---|---|---|---|---|---|
| Adjusted ROAA | 40% | 0.74% | 0.87% | 1.10% | 0.92% | 110.90% | 44.36% |
| Adjusted ROAE | 30% | 6.97% | 8.20% | 10.66% | 8.49% | 105.90% | 31.77% |
| Efficiency Ratio (non-GAAP) | 15% | 67.50% | 65.00% | 60.00% | 64.11% | 108.90% | 16.34% |
| Loan Growth | 15% | 3.23% | 4.62% | 6.00% | -1.39% | — | — |
Gating thresholds: net charge-offs ≤0.50% and total loan delinquency ≤3.00% required for any payout consideration . The committee exercised discretion to fund at 100% of target despite the loan growth shortfall, citing deliberate mix shift to higher-return commercial loans and budget outperformance .
PSU design for long-term incentives (company-wide for NEOs): 3-year performance; payout 0–150% based on relative Core ROAA vs KRX peer ranks (25th/50th/75th percentile thresholds) . RSUs typically vest in equal annual installments over 3 years; PSUs vest at the end of the 3-year period if earned .
Equity Ownership & Alignment
- Pledging/Hedging: None of the directors or executive officers had shares pledged as collateral as of February 18, 2025; insiders are prohibited from pledging, short selling, or hedging company stock (e.g., collars, swaps, exchange funds) .
- Clawback: Equity awards are subject to clawback in the event of accounting restatements or erroneously awarded incentive compensation, compliant with SEC/Nasdaq rules .
- Stock Ownership Guidelines: Apply to NEOs (CEO 3x base salary; other NEOs 1x) and non-employee directors; all NEOs currently meet requirements. These guidelines are not stated to apply to non-NEO executive officers like Creal .
Employment Terms
No individual employment or change-in-control agreement disclosed for Thomas Creal. By contrast:
- Employment agreements are disclosed for the CEO and CFO (severance equal to 3x highest base + 3x highest bonus; 12-month noncompete in licensed states; medical/dental continuation) .
- Change-in-control agreements disclosed for CRO, CCB Officer, and CIO with 2–3x multiples post-CIC; not listed for Creal .
- Insider trading policy and majority of benefits/perquisites policies apply firm-wide .
Performance & Track Record
- Asset quality and capital: 2024 overall delinquency ~0.9% and 90-day delinquency ~0.2%; tangible common equity/tangible assets increased to 8.65%, with all regulatory capital ratios “well capitalized” .
- Credit stance and market commentary: On the Q2 2025 earnings call, Creal detailed classified loan increases tied to multifamily projects facing soft market absorption; coverage ratios near 1.0x given rate pressure, with meaningful sponsor equity support and no material C&I industry concentrations—one larger exposure in electronics (indicative of disciplined credit oversight) .
- Strategic loan mix: 2024 commercial loans grew to $2.0 billion (+$350 million YoY), consistent with a deliberate pivot toward higher-yield commercial exposures to balance profitability and risk .
Board Governance and Compensation Oversight (context for alignment)
- Compensation Committee independence; use of Pearl Meyer as independent consultant; peer group benchmarking across banks with 50–200% of NWBI’s asset size .
- Best-practice policies: double-trigger CIC vesting; no option repricing; no tax gross-ups; annual Say-on-Pay vote (96% support in 2024) .
Investment Implications
- Alignment indicators: Strict anti-hedging/anti-pledging policy and clawbacks reduce misalignment risk and forced-selling pressures, supportive of long-term shareholder alignment under Creal’s senior risk role .
- Retention/contract risk: Absence of disclosed individual employment/CIC terms for Creal suggests standard executive employment arrangements rather than bespoke retention economics; this reduces golden-parachute concerns but provides less visibility into severance mechanics for this role .
- Execution signals: Creal’s credit commentary reflects disciplined underwriting and proactive sponsor engagement in multifamily exposures; combined with improving efficiency and commercial mix shift, this supports risk-adjusted return focus—though loan growth KPI shortfall in 2024 underscores cautious deployment amid market conditions .
- Data gaps: Lack of individual compensation and ownership details for Creal limits pay-for-performance diagnostics (base salary/bonus targets, equity holdings, and vesting schedules). Monitoring future proxies and Form 4s for any grants or transactions will be key to assessing incentive alignment and potential selling pressure .